Margaret River offshore drilling lease approved

Environmental groups have expressed disappointment over the Federal Government's approval of a series of new offshore oil drilling leases, including one off Western Australia's South West coast.

The Government has agreed to release 31 exploration areas to the market this year.

A site 85 kilometres off the coast of Margaret River has been approved, the same site was earmarked for a potential marine sanctuary.

The Conservation Council's Tim Nicol says the Government has ignored community concerns.

"A lot of people are going to be quite distressed that this lease is sitting off the coast of Margaret River with the potential for an oil industry to start there any time.

"That area can no longer can become a marine sanctuary so it really ups the ante on making sure we get a network of protected areas in place before more of this sort of development comes into the region."

Mr Nichol says any oil development in that area will put local marine life at risk.

"Up to 90 per cent of the marine life in the south west corner of Australia is unique to the region. The big risk comes from the big spills like we've seen recently in Louisiana and Montara."

Other sites approved for development include the Carnarvon and Roebuck basins off the north-west coast of WA.

Michelle Grady, from the Pew Environment Group, says it is the first time such developments have been approved for areas which are also being considered for marine sanctuaries.

"So, pretty much all the areas announced today are right over the top of areas that the Federal Environment Minister Peter Garrett is looking at for protection and that's because these areas are critically important for marine life."